Photo: Manor Racing
Formula 1 has lost a team this season, as the Brits at Manor Racing have announced that they are shutting down their operations.
The Manor Racing Team only scored a single point last season, and the company entered bankruptcy protection earlier this month. Since then, Manor was seeking a buyer for its assets, but the administrators of the situation, FRP Advisory, have not discussed with any potential partner that would make them “feel comfortable” that the monetary part would be handled in a way to save the company.
As Motorsport notes, the administration of Manor Racing’s economic fate did not have discussions that were advanced enough to bring hope for the team. Instead of selling it and risking to see another insolvency down the road, they preferred to notify the staff that the company will cease trading.
In other words, almost all employees will be made redundant by the end of January, but they will be paid on the last day of this month. Fortunately, funding has been secured for this task, so the 212 people working for Manor will get their paychecks from the business.
While the parent company of Manor will cease operations, there is another business opportunity at hand for Manor Grand Prix Racing Ltd. "Just Racing Services" is behind Manor, and it will be shut down, but a different enterprise holds the rights that would allow someone to race in Formula 1.
The fiscal administrators of Manor are disheartened by the decision to close down the team, but they feel that it had achieved so much in its previous two years in motorsport.
Unfortunately, operating a team in the world’s most expensive form of automotive competition is not an easy task, and even automakers have backed away from this game.
In spite of a cap on costs for Formula 1 teams, obtaining the necessary funding to start and support a team that manages to qualify to race in the most prestigious branch of motorsport is reserved for those with a massive financial strength. Hopefully, this team will be reborn some day with appropriate funding.
As Motorsport notes, the administration of Manor Racing’s economic fate did not have discussions that were advanced enough to bring hope for the team. Instead of selling it and risking to see another insolvency down the road, they preferred to notify the staff that the company will cease trading.
In other words, almost all employees will be made redundant by the end of January, but they will be paid on the last day of this month. Fortunately, funding has been secured for this task, so the 212 people working for Manor will get their paychecks from the business.
While the parent company of Manor will cease operations, there is another business opportunity at hand for Manor Grand Prix Racing Ltd. "Just Racing Services" is behind Manor, and it will be shut down, but a different enterprise holds the rights that would allow someone to race in Formula 1.
The fiscal administrators of Manor are disheartened by the decision to close down the team, but they feel that it had achieved so much in its previous two years in motorsport.
Unfortunately, operating a team in the world’s most expensive form of automotive competition is not an easy task, and even automakers have backed away from this game.
In spite of a cap on costs for Formula 1 teams, obtaining the necessary funding to start and support a team that manages to qualify to race in the most prestigious branch of motorsport is reserved for those with a massive financial strength. Hopefully, this team will be reborn some day with appropriate funding.
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